The Johannesburg Stock Exchange’s (JSE) mining index has risen above increasing costs and policy uncertainty in South Africa’s resources sector to outperform the all share index for the first time in a decade.

Global accountancy firm PwC’s ‘SA Mine 2018’ report found that in the 12 months to June-end, the mining index outperformed the all share. “Hopefully it’s a sign of what’s to come in future,” said PwC partner Andries Rossouw at the release of the research document.

The report, now in its 10th edition, surveyed 31 listed mining companies and found the combined market cap of those miners increased to R482 billion, up from R420 billion in 2017.

The industry’s annual performance was labelled a ‘mixed bag’ by PwC, with bulk commodity prices continuing to rise from the lows of 2016, but precious metals continued to struggle. The value of gold and platinum declined 4% and 5% over the last year.

However, revenue for the year ending June rose 8% to R28 billion, with coal mining the largest revenue generator and capital expenditure increased for the first time since 2012, rising by 19% to R62 billion.

The annual SA Mine report closely follows the publishing of a revised mining charter last week, but it remains to be seen whether businesses and the government can work more effectively towards a more stable mining environment in South Africa, PwC said.